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> Personally I don't think the site is worth that i don't agree. the url and existing content is worth at least that much to a larger publisher that specializ
by beachstartup 13y ago
> Personally I don't think the site is worth that
i don't agree. the url and existing content is worth at least that much to a larger publisher that specializes in food blogs. it's less than the cost of one junior FT employee for a year.
i know this because the sale actually happened, so by definition, you are incorrect in that it was overpriced. someone bought the business, it is therefore "worth that". not sure what you are trying to say here, you might as well say the sky is green and gravity pulls upward.
profitable, large companies have a very different interpretation of value than broke individuals. furthermore, they are oftentimes purchasing assets through debt or equity, which is quite different than something like money saved from free cash flow.
- mcguire 13y agoI would tend to disagree: it is difficult to know whether an investment is actually overpriced until after the buyer has filed for bankruptcy due to being unable to support its acquisitions. As the poster's original housing business demonstrates.
- beachstartup 13y agoi would disagree with your disagreement. the price of the transaction is the value, period. what happens afterwards is neither here nor there and can be complicated by factors that are completely unrelated to the viability of the original business, purchase price, or anything else. what happens if the purchaser makes the purchase, and then are the victim of a class-action lawsuit brought against a sister brand in which they have to spend their entire savings and must declare bankruptcy, thereby bankrupting thecupcakeblog?
- avalaunch 13y agoSo you're basically asserting that by definition nobody can ever overpay for anything?
- nialo 13y agoThe "value" may well be the sale price by definition, but that's not really the important thing here. The important question is, was buying this particular site for this particular price a good decision, one that will tend to make money for the purchaser. I don't know what the answer is, but opinions can certainly vary.